THE WORLD IS ON FIRE
The pressure of human activity on the biosphere continues to accelerate with the overexploitation of natural resources, climate change, and the depletion of biodiversity. The people most affected by these three challenges are the inhabitants of rural areas. At the same time, agriculture is the leading cause of deforestation. It contributes massively to global warming and the disappearance of species. While junk food is wreaking havoc on health and ecosystems, initiatives are growing to establish and strengthen sectors of healthy products respectful of the producer and his land.
To meet these challenges and seize these opportunities, Impact Finance has drawn up a list of five sub-strategies focusing mainly on agricultural value chains. These 5 sub-strategies, linked to the five Sustainable Development Goals, guide us in the search for financing opportunities and make it possible to better qualify the impact of each company financed.
OUR 5 SUBSTRATEGIES
Small Scale ProducersCompanies working directly with small-scale producers in a win-win collaboration. |
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AgroforestryCompanies operating existing plantations or forests managed sustainably and with a focus on biodiversity conservation. |
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Integrated FarmingFarming companies that combine modern technology with natural mechanisms to increase productivity while minimizing the use of inputs. |
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Circular IndustryCompanies working to create innovative solutions for waste recovery. |
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Financial InclusionMicrofinance institutions focused on financing the rural economy and education. |
OUR IMPACT
THE END
We finance companies that contribute to solutions. For each substrategy we manage the intended positive impact using the methodology of the Impact Management Project. Learn more
IMPACT PRINCIPLES
Impact Finance is signatory of the Operating Principles for Impact Management. Our Disclosure Statement includes a description of the investment process, investment strategy, and methodologies to assess the sustainability risks and monitor the principal adverse sustainability impact. Telos Impact is our independent verifier and has released its positive verification statement on the 31/10/2023.
THE MEANS
Because we believe that the end does not justify the means we expect from companies the highest standards in terms of sustainability. In 2011 we created our own tool Kharmax, a web-based system to collect, monitor, and qualify universal sustainability aspects ensuring that companies ‘act to do no harm’ and ‘benefit stakeholders’.
SUSTAINABILITY DISCLOSURES
The investment product of Impact Finance has been classified as dark green in alignment with Article 9 of Regulation (EU) 2019/2088 on sustainability-related disclosures in the financial services sector (SFDR). In addition to the description of the investment process and methodologies, the monitoring on how we aim to attain our sustainability objective can be found in our Impact Report.
FUNDING CONDITIONS
Amounts from USD
500,000 to 5,000,000
Targeted region
Latin America
Interest rate from
9% to 12%
Guarantees depending on the cash flow:
sales contract, pledges, inventories or machines, mortgages
Maturities from 3 months to 5 years
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Amounts from USD 500,000 to 5,000,000 |
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Targeted regions Latin America and Europe |
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Interest rate from 7% to 12% |
| Guarantees depending on the cash flow: sales contract, pledges, inventories or machines, mortgage |
| Maturities from 6 months to 5 years |
Funding process
Contact
Preliminary information sent and discussion
Two weeks
Impact Finance Pre-Selection Committee
Two weeks
Information sent
Necessary time to set a visit
Two days field visit to perform the due-diligence
Two months - Risk analysis and impact assessment
Impact Finance Fund’s Investment Committee
Two weeks
Investment, monitoring and on-going operations
INCLUDED NON-FINANCIAL SUPPORT
Financial advisory
Impact-driven advisory
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